Unfair dismissal in Spain has been at the centre of legal and political debate for some time now, and 2026 is no exception. Pressure from Europe for compensation to genuinely repair the harm suffered by those who lose their job has reopened a fundamental question: is the current model enough?
First of all, an important clarification: what we are going to tell you is a debate and a reform in progress, not something already approved. The rules in force remain the same as always. But it is worth knowing where things are heading, because it may affect how what you are entitled to is calculated.
Where the pressure comes from: the European Social Charter
The origin of it all lies in the European Social Charter and in the decisions of the European Committee of Social Rights, the body that oversees its compliance. This committee has been pointing out that Spain’s fixed compensation, the set formula that multiplies days of salary by years worked, may be insufficient to repair the real harm suffered by a person dismissed unfairly.
The argument is this: an amount calculated automatically does not always compensate what the worker really loses, nor does it deter the company from dismissing without cause. For someone with a low salary and few years at the company, the compensation can fall well short of the harm they suffer.
What is being proposed to change
The discussion revolves around the idea of a dismissal with a reparative and deterrent effect. In practice, the proposal is to supplement the fixed compensation with an additional amount that takes into account each worker’s personal circumstances, for example:
- Age and the greater or lesser difficulty of finding work again.
- Family responsibilities.
- The foreseeable length of time the person will spend without income.
- The specific harm the dismissal has caused them.
The key word is deterrent: the aim is that dismissing without cause should not “come cheap” for the company, so that compensation stops being a cost that can be calculated in advance and predicted down to the last cent.
“At BBM Abogados we defend the interests of individuals and businesses in Santander and Cantabria with a close, rigorous and fully transparent approach. If you have doubts about your case, we help you see it clearly.”
What remains in force today
Here it is worth being very clear so that you are not confused. Until a new rule is approved, the legal benchmark remains the fixed compensation of 33 days of salary per year worked, with the caps set by law (and the previous regime of 45 days for time worked before the 2012 reform, in cases where it still applies).
In other words: if you are dismissed today and the dismissal is declared unfair, it is calculated under the current rules. The European debate does not, on its own, change what you receive; the Spanish legislator has to reform the rule.
What it means for workers
If you are a worker, the direction of the debate benefits you in principle, because it points towards compensation that is more closely matched to your real situation. But there are two important caveats:
- Do not wait around. The reform has not been approved and you do not know when it will be. Your current rights are exercised under the current law and with very short deadlines.
- Every case is different. If additional compensation comes into play in the future, it will be crucial to document your personal circumstances well. The better prepared your case is, the better.
What it means for companies
If you run a company, the message is one of caution. A model with variable, deterrent compensation introduces more uncertainty into the cost of a dismissal. That reinforces the importance of:
- Documenting the grounds for any dismissal properly.
- Assessing the alternatives and risks beforehand.
- Seeking advice before making the decision, not afterwards.
A poorly grounded dismissal has always been costly; in the scenario being debated, it could be even more so.
What to do in the meantime
The advice, whether you are a worker or a company, is the same: do not make decisions blindly and do not let the deadlines pass. If you have been dismissed, you have 20 working days to challenge it, and that clock does not stop for any legislative debate.
At BBM Abogados, a firm in Santander since 1990, we review your dismissal under the law in force, calculate what you are entitled to and negotiate with the company before going to court. If you want to know how to claim and recover what you are entitled to, or understand the details of dismissals and compensation, we are at your disposal. Call us on 942 36 10 48 or write to us at /contacto/.